NZDUSD – New Zealand Dollar Holds Uptrend Support Vs US Dollar

Key Points

  • The New Zealand Dollar is holding a couple of important supports like 0.7050 against the US Dollar.
  • The NZDUSD pair is following a decent ascending channel with supports at 0.7070 and 0.7050 on the hourly chart.
  • Today in New Zealand, the Business Confidence Index for May 2017 was released by the ANZ.
  • The outcome was above the forecast, as there was a rise from the last reading of 11 to 14.9.

NZDUSD Technical Analysis

The New Zealand Dollar gained a lot of pace recently and moved above the 0.7020 and 0.7080 resistance levels against the US Dollar. The NZDUSD pair is moving nicely above the 0.7050 support and the 21 simple moving average.

The pair is currently trading near a major bullish trend line at 0.7080, but the most important support one is near a decent ascending channel at 0.7050 on the hourly chart.

There is a chance of a minor dip towards the 50% Fib retracement level of the last wave from the 0.7035 low to 0.7115 high at 0.7077 where it may find buyers for an upside move.

New Zealand Business Confidence Index

Recently in New Zealand, the Business Confidence Index for May 2017 was released by the ANZ. The market was positioned for the Index to remain stable and post a minor increase from the last reading of 11.

The result was above the forecast, as there was a rise from the last reading of 11 to 14.9 in May 2017. And, the NZ business outlook also gained traction and posted 38.3%, up from the last 37.7%. The report added that “A net 38% of businesses expect better times for their own business. That’s unchanged on last month but 10 points above the historical average. All sectors are upbeat. Retail is at the low end (+22) and services the high (+44). Party on“.

Overall, the NZDUSD remains supported as long as above 0.7050, and we may see more gains above 0.7100 in the near term.

Original Article